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As a non-trader, I find the technical aspects of how these trading and clearing operations function to be fascinating in their complexity and efficiency. I give you a hard time on your politics posts, but these posts are the real reason that I read your blog. I think crypto is mostly snake oil, but time will tell. Different, with more technology doesn't always or even frequently mean better.

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Jeff, check out this article about these two geniuses below.

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Interesting article Jeff, but wouldn't that cost FTX a fortune to clear margins every 30 seconds?

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Sad, but has nothing to do with clearing. They were picking up nickels in front of a steam roller and using lots of leverage to do it.

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No, because in theory the blockchain network would do it for them. Their clearing model is decentralized where CME/ICE are centralized. Theory being that the network absorbs a lot of the costs and so does the way that the underlying token supporting the network. Since the token is programmable, it's possible to write software on top of it.

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